EFZ Profile
The
ProShares Short MSCI EAFE ETF (EFZ) is an exchange-traded fund that
provides short exposure to the MSCI EAFE Index. The MSCI EAFE Index is
a widely recognized benchmark for international equity investments,
representing the developed markets of Europe, Australasia, and the Far
East.
EFZ seeks daily investment results, before fees and
expenses, that correspond to the inverse (-1x) of the daily
performance of the MSCI EAFE Index. This means that if the MSCI EAFE
Index declines by 1% on a given day, EFZ should increase by
approximately 1% on the same day. Conversely, if the MSCI EAFE Index
increases by 1% on a given day, EFZ should decrease by approximately
1% on the same day.
EFZ is designed to be used by investors who
believe that the MSCI EAFE Index will decline in value. It is intended
to be used as a short-term trading vehicle, not as a long-term
investment. As with any investment, there are risks associated with
investing in EFZ, including the risk that the fund may not achieve its
investment objective and the risk that the value of the fund's shares
may decline.
Investors in EFZ should also be aware of the
fund's expenses, which include a management fee of 0.95% and other
expenses such as trading costs. These expenses can erode the fund's
returns over time, especially if the fund is held for an extended
period.
Overall, EFZ may be appropriate for investors who want
to hedge their exposure to international equity markets or who have a
negative outlook on the MSCI EAFE Index. As with any investment,
investors should carefully consider their investment objectives, risk
tolerance, and investment time horizon before investing in EFZ or any
other exchange-t
|
